Posted in Marketing and Strategy Terms, Total Reads: 521
Definition: Flat Market
Flat market is a trend in which the trading range does not move either high or low but instead trades within the boundaries of recent highs and lows. This signals that there is less or no investment in the market and the investors are holding back to see how will the market change before investing. The market movement is said to be flat because the price activity chart shows a more or less horizontal line because the prices failed to dip or gain. The flat market is sometimes related to low trading volumes and is also called a sideways market or deer market.
The market for electronic products before any festive season remains flat and there is no change in price activity because the consumers are holding back their investments in light of any promotional offers or discounts that might be offered during the festive seasons. The price activity chart and the trading volume chart remains flat before the festive season but shows immediate changes just before or during the festive season.